The director of ASTRI involved in the misconduct of his wife and friend company for 540,000 orders

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Written by: Li Enci

2020-07-03 19:12

Liu Wenjian, director of the Hong Kong Applied Science and Technology Research Institute Co., Ltd., when handling purchase orders worth about 540,000 yuan, involved suppliers controlled by him or related to him without declaring conflicts of interest. He was sued by the Independent Commission Against Corruption earlier. The defendant was found guilty of misconduct by a public official today and was temporarily remanded in custody of the Correctional Services Department. The case was postponed until the 17th of this month.

The defendant Liu Wenjian was charged with misconduct by public officials. (Photo by Lin Leer)

The defendant is responsible for coordinating three government R&D projects involving 9.5 million yuan

The defendant, Liu Wenjian, is 50 years old and is the director of research and development at ASTRI. He was found guilty of misconduct by a public official in the Shatian Magistrates' Court. The prosecution was represented today by senior prosecutor Liang Baoqi and assisted by ICAC staff Gan Lili. Magistrate Li Zhihao adjourned the case to sentence on July 17, pending the defendant's background and social service order report. The defendant was temporarily remanded in custody of the Correctional Services Department.

The case revealed that the defendant served as the research and development director of ASTRI at the time of the case. ASTRI is a public institution that aims to enhance the competitiveness of Hong Kong's technology industry through the implementation of government-funded research and development projects. The defendant served as the project coordinator for three R&D projects that received government funding of approximately 9.5 million yuan. He has the right to recommend the use of project funds for procurement and appointment of suppliers, and to approve purchase orders related to these projects.

According to ASTRI’s Code of Conduct, the defendant should avoid conflicts of interest between his individual and ASTRI and make disclosures to ASTRI when conflicts of interest arise. He must also declare whether conflicts of interest are involved when he participates in procurement.

The Independent Commission Against Corruption sued Liu Wenjian, director of the Hong Kong Applied Science and Technology Research Institute Co., Ltd. (Profile picture)

The defendant instructed his subordinate to request a quote from his wife and friend company

The defendant instructed a subordinate in June 2016 to obtain a quotation from Shidong Technology Co., Ltd. and Bowen Education (Asia) Co., Ltd. in order to purchase computer products. The two companies were subsequently nominated as recommended suppliers in the procurement of six computer products. The defendant declared that he had no conflict of interest with these recommended suppliers in the six purchases. Due to the lowest quotation of Shidong or Bowen Asia, Shidong and Bowen Asia were approved for four and two purchase orders, with a total value of approximately 470,000 yuan.

The case revealed that the original action was actually founded by the defendant in 1999. From March 2016 to October 2017, Golden Commence Limited was jointly held by Golden Defence Limited and the defendant's wife. The defendant’s wife is the sole director of the initiative and the sole director and shareholder of Golden Commence. Golden Commence also holds approximately 10% of Bowen Asia’s holding company, and a friend of the defendant and the friend’s wife are directors of Bowen Asia.

In October 2017, the defendant, when approving another application for the purchase of a computer product with a total value of more than 73,000 yuan, started to declare that he had no conflict of interest with Start. ASTRI learned about the relationship between the defendant's wife and the starter, and stopped the purchase.

Concealed Conflict of Interest The ICAC received a corruption complaint referred by the Chinese Academy of Sciences

The ICAC received a corruption complaint referred by the Chinese Academy of Sciences earlier, and revealed the crime after investigation. The ICAC investigation found that Shidong and Golden Commence were actually controlled by the defendant, while the quotations submitted by Shidong and Golden Commence were actually prepared by the defendant. ASTRI provides full assistance during investigations by ICAC.

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